Legislators delay action on gas-lease measure

Oct. 21, 2010

Broome CouNty A measure to approve a $7.8 million gas lease deal on a portion of county-owned land will be made after the Nov. 2 election. All 19 seats of the Broome County Legislature are up for election Nov. 2. Thirteen are contested.

Legislators tabled the measure, as expected, Thursday night. However, the offer will be back on the agenda for the legislature's Nov. 18 meeting. The new offer calls for Inflection Energy to pay between $2,250 and $2,750 per acre up front for the rights to extract natural gas from 3,200 acres of county-owned land.

The five-year deal, which could be extended by three years for an additional bonus payment, would pay the county 20 percent royalties on any gas produced, subject to deductions for a share of post-production costs capped at 30 cents per thousand cubic feet. In July, Inflection's $16 million offer for the mineral rights to 5,610 acres of Broome County land was pulled for lack of support from a majority of legislators.